Despite the fact that some states have legalized online gambling, the federal government has made it clear that any type of gambling on the internet is illegal. There are seven federal criminal statutes that are implicated by illegal Internet gambling.
Some of the most prominent laws are the Wire Act, the Illegal Gambling Business Act, and the Racketeer Influenced and Corrupt Organizations Act (RICO). Several of these statutes have been challenged on constitutional grounds. However, these efforts have not been successful.
The federal government has also used its authority under the Commerce Clause to combat Internet gambling. The Commerce Clause allows Congress to regulate interstate commerce. It is believed that the commercial nature of the gambling business may satisfy the Commerce Clause. However, some question the authority of Congress under the Commerce Clause to regulate the Internet.
The first online gambling venue for the general public was the Liechtenstein International Lottery. The venue offered a variety of games to the public, including poker, casino games, and fantasy sports. The company later agreed to pay a $3 million fine and launch a public service campaign.
Another example of an Internet gaming site was BetOnline, which offers twenty sports betting and bingo games. In addition, the site offers daily specials for UFC matches, table tennis, eSports, and other mainstream pro sports. It also offers four bingo games, five games of keno, and thirty video poker variants.
Several states have legalized online gambling, including New York, Delaware, and Nevada. Several other states have legalized gambling in a physical location.